India says yes to compliant Chinese investments in electronics

Business Jan 02, 2026

India is now welcoming Chinese investments in its Electronics Component Production-Linked Incentive (PLI) scheme—as long as they follow the country's foreign investment and security rules.
S Krishnan from the IT Ministry made it clear these proposals won't be dismissed just because they're from China; what matters is playing by the rules.

Why this matters for tech and manufacturing

The PLI scheme is all about growing India's electronics industry by rewarding companies that boost local production.
Recently, the government even approved PLI benefits for a Dixon Technologies unit with a Chinese partner, showing it's serious about supporting domestic manufacturing while sticking to national policies.